- In order to spot clues that the current slump is coming to an end, traders will be attentively observing how Bitcoin’s weekly chart closes on May 12.
A “bullish candle hammer” that has shown on the weekly price chart of Bitcoin, which is currently trading at $62,811, is being cited by traders as a potential sign of a reversal of the previous month’s downward trend.
The creators of market research company Glassnode, Jan Happel and Yana Allemann, posted on their shared X account, “Negentropic,” on May 9, stating that “Bitcoin still looks like it is about to BLOW higher.”
They pointed out that the May 5 closing price of Bitcoin displayed a bullish hammer, which is the symbol for a little body above a long, thin line known as a “wick.”
Bitcoin finished at $64,109 for the week ending May 5, according to data from CoinMarketCap. If it were to rise by 20% from this point, it would surpass its all-time high of $76,822.
The price of Bitcoin is $62,830 as of writing.
Crypto trader Mags believes it might come in just shy of that forecast, but not by much.
They said to their 73,300 X followers on May 9 that if price maintains its present levels, a range high of $72,000 will be the next destination.
While some traders view this single candle pattern as a bullish indication, most prefer to wait for the next candle to confirm the direction change.
Thus, throughout the week of May 12, traders will be observing how Bitcoin’s chart ends.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
